What we need to understand is the nature of price discovery today (given that computers now produce our prices). When we all used physical money units (paper notes and coins) to create our prices we could witness price discovery from actual negotiations between people. Today, however, price discovery is revealed by computer operations. Speed of light computer digits now change prices in realtime for most goods/assets/collateral. Prices of commodities like silver, gold, and oil are created mostly via computer algorithms (not people). Machines now create most of our prices and we witness this clearly in the silver/gold markets in realtime. Machine driven robots (programmed with algorithms) trade a commodity like silver on the electronic futures markets. We can follow the moment by moment changes in price on our computer screen…but we do not know who/what is moving these prices in realtime. Algorithms work behind the scenes. Look at this chart of silver which comes from Kitco.com:
The green lines show how computer algorithms change the realtime price of silver from moment to moment on our electronic markets. Silver reached $17.30/ounce at 1 p.m. (on the NY Globex market) and then the price was slammed down to $17.05 within minutes. How is this accomplished? Pre-programmed algorithms can accomplish this result. Human beings no longer create our price discovery for the commodity called silver. Spot prices and trading prices are now revealed from prior computer operations!
It seems like most financial pundits still assume that price discovery is a human activity (and this was true in the recent past but not today). They also assume that real prices emerge from realtime negotiations between live human buyers and sellers who think about the transaction being negotiated. This is often not the situation today. Computers now create our prices and manipulation of prices via algorithms and robots can produce prices which have no relation to historical reality (rational logic). Prices should be viewed as machine driven results which are manipulated by computer programs. And today our computers use algorithms for most of these manipulations. Algorithms operate behind the scenes and no one knows what logic is programmed into an algorithm.
This chart represents realtime prices which emerge from our computer driven algorithms. Practically all of our prices now derive from electronic trading. The default methodology for trading is now algorithmic trading. The logic within an algorithm may not be equivalent to human logic or rationality. The objective of an algorithm is to manipulate transactions so that profits develop from minor price changes. Prices now are all that traders desire to follow. Naked shorts can produce a sharp drop in the silver price even though human demand for silver may be increasing. This also happens with the gold price! Supply and Demand are now obsolete measures for determining our silver/gold prices. Computer manipulations are real!
Many pundits also assume that prices result from contracts where a real physical commodity is being exchanged between a buyer and a seller. This, however, is not always the case today for many transactions on the Stock market, the Futures market, and the Options markets. Our computers, programmed with an algorithm and operating at near the speed of light, can purchase and dump contracts (in milliseconds) where no physical good is being delivered. I call these phantom contracts. Computers can also cancel a transaction with no delivery involved. Our speed of light transactions produce artificial prices which may not reflect human logic or rationality. Since April of 2011 the price of silver has declined from $48 to $17. Why? Supply and Demand from humans did not create this change! In fact, I am buying silver today because it is so cheap due to all these computer manipulations!
Algorithmic trading creates our prices in realtime. Price discovery is now a computer driven result!
Today, we have contracts called ‘naked shorts’ and/or ‘uncovered shorts’ which produce artificial prices for silver and gold. A computer algorithm can be working in the background within a trading room and produce changes in a commodity price by dumping thousands of phantom contracts on an electronic market (like the Globex) to slam the price of silver in milliseconds. This slam is not representative of human negotiations where a physical commodity is being exchanged between buyer and seller. This slam is actually a machine driven result derived from a mathematical algorithm and where no delivery is being done. Paul Craig Roberts calls these contracts ‘uncovered’ contracts. The computer prices emerging from an algorithm which sells short (uncovered contracts) does not reflect human negotiated transactions. This is pure price manipulation!
Traders use algorithms (also called automated trading) to execute trades (affecting prices) in realtime!
I now have an APP on my smart phone where I can follow the algorithmic trading of silver and gold in realtime. The above chart is typical of what I observe on my smart phone screen. Silver prices are changing continually in realtime but not being allowed to fluctuate out of a narrow band (range). It seems obvious that this price is being monitored and controlled by a computer algorithm. It is unlikely that this monitoring and control is being done by a private trader (algorithm)…as why would a private trader desire that silver be contained within a narrow band (range)? It is much more likely that our elite traders at the Fed or the Treasury have created an algorithm for this task. Manipulating the price of silver and gold could be an official policy so that our Cyber Dollar is viewed as stable and viable. This is my sense and also that of many others who watch our manipulated markets!
Is there such an entity as the Plunge Protection Team? David Stockman says it is the FOMC. Others say it is the Fed, SEC, and the Treasury? Others have suggested that it may be the Exchange Stabilization Fund (within our Treasury)? Who can prove any of this without being within the group think operation?
The history of money is based on a foundation of gold and silver. If these prices are kept down and sentiment for these metals is suppressed, it makes sense that traders, investors, and the public will buy into the official Cyber Dollar as a viable and stable monetary unit. My sense is that our elite policymakers at the Fed and/or the Treasury are behind the manipulation of prices (of silver/gold) and also the bubbles in our stock, bond, and derivative markets. Think ‘algorithms’ and ‘computer’ manipulations! Give this scenario some reflection and then watch the realtime prices of silver and gold on your computer screen. Observe the bubbles in our Stock markets (and all the global stock exchanges). Can computers monitor and control these markets to some degree? All this could now be accomplished with ALGORITHMS AND ROBOTS and no one would know who is programming these algorithms. We live within a machine driven global marketplace. Computers rule (markets are manipulated). Policymakers could be behind some of these manipulations! Enjoy! I am: http://kingdomecon.wordpress.com.
America votes again on November 4, 2014. Will the newly elected leaders create a better world for the individual (the general public)? Can real ‘freedom’ emerge from a belief system called DEMOCRACY? Thomas Jefferson didn’t think so! Another political entity which is promoting world ‘democracy’ is the Council of Europe. This group of 47 nations is holding their World Forum for Democracy, November 4-5: http://www.coe.int/en/web/world-forum-democracy. The Strasbourg World Forum for Democracy is an annual gathering of leaders, opinion-makers, civil society activists, representatives of business, academia, media and professional groups to debate key challenges for democracies worldwide. The insights gathered during the World Forum meetings inform the work of the Council of Europe and its numerous partners in the field of democracy and democratic governance. Do these forums and promotions actually lead to equality and justice for the individual, however?
More than 20 Korean Americans are running for election on November 4. This is America in 2014. Will these well-intentioned leaders create any real ‘freedom’ for all 320 million Americans, however? Can ‘democracy’ actually produce a ‘free’ world for our planet? What do you think?
The Council of Europe consists of 47 countries (820 million people). They promote ‘democracy’! Is this leading to any real ‘freedom’ for the 820 million under their rulership?
What we need to recognize is the underlying experiences produced by this belief system called ‘democracy’. Let’s define the concept of ‘democracy’. A democracy is a country in which power is held by elected representatives. We can continue with the recognition that usually some 51% rule over the 49%. This rulership creates special interests and group think for those in positions of ‘power’. In the United States of America we espouse the concept of ‘democracy’ and we currently have rulers who have 40% approval (President) and 9% approval (Congress). Does this represent what emerges from a belief system like ‘democracy’? America initially started with a belief system called a Republic. This so-called Republic was not a real democracy as the people did not choose all their representatives or the laws which governed over them. Yet this is what our Constitution desired for America!
Can a body of elite rulers (such as the Council of Europe) create any real ‘freedom’ for the masses (general public)? Can the elite rulers of America create any real ‘freedom’ for Americans?
America initially defined a Republic as:
Personally, I agree with Thomas Jefferson. Democracy can not create a ‘free’ MIND or a ‘free’ individual! The concept of ‘democracy’ was rejected by America’s Founding Fathers! Why?
Currently, our elite rulers on this planet desire to promote the concept of ‘democracy’ as this allows the elite to maintain their control and rulership over the masses. It also allows these elite to promote their concepts of control over the society at large. There is no way that the general public can experience real ‘freedom’ under any type of ‘political democracy’. 6000 years of human experience proves otherwise! We can look at all the democratic nations on this planet (right now) and witness the confusion, mob rule, political corruption, economic corruption, and special favors created for those who bow to their selected rulers. Is this ‘freedom’? Does ‘political democracy’ lead to any real ‘freedom’ for the masses? I don’t think so!
What we witness on planet Earth are rhetorical expressions of ‘democracy’ from the elite but the people continue to suffer under these elite controllers/manipulators/rulers. We witness our Secretary of State, John Kerry, espouse more ‘democracy’ for Ukraine, Tunisia, Syria, Iran, Iraq, Afghanistan, etc. but what emerges from these elite rulers is more group think, subjugation of individual rights, criminal activities at the highest levels, political corruption via new laws not followed, and more economic inequalities for the overall society. Take the time to follow the new elections and then ask yourself if world conditions are improving for the masses. Can any real ‘freedom’ emerge from this belief system called ‘democracy’? Why this paradox? Why does ‘democracy’ not work and why is it a myth when experienced in realtime?
John Kerry espouses the rhetoric of ‘democracy’ but is rhetoric what the Mob elects rather than realtime results? How do we eliminate the elite from their positions of ‘power’ and ‘control’?
What we need to recognize is that rulers are mostly governed by their individual ‘human nature’. Human nature is selfish, flawed, and filled with hubris/pride. Rulership reveals both the light and dark side of ‘human nature’. If we reflect on our own leader/ruler/administration we can discern the paradox between ‘intention’ and ‘performance’. We witness ‘intention’ prior to an election. We witness ‘performance’ after the election. The Mob which elects a leader/ruler often falls for the leaders ‘intentions’. These ‘intentions’ get the elite leader elected. Thomas Jefferson and many other realtime philosophers recognized that the Mob will generally fall for ‘intentions’ and ‘rhetoric’. Words which are positive and progressive seem acceptable to the Mob.
Human nature (out of power) is mostly benign! Human nature (in power) reveals its hubris/selfishness/egoism!
Discernment and wisdom, however, is usually not evident within the Mob mentality which elects a leader/ruler. Personally, I fully agree with the mindset of Thomas Jefferson on his view that a ‘political democracy’ is really a type of Mob Rule. What great wisdom this man held! I would also state that a Republic is not a final belief system either. Both a Republic and a Democracy allow the elite to rule over the common man. What we really need to promote is SELF GOVERNMENT! Self government is where each person rules over himself/herself with NO political rulership over the MIND of man. The elite are removed from ALL power, control, rulership and the individual then becomes SUPREME! There can be no real ‘freedom’ without SELF GOVERNMENT! Give this concept some reflection and thought! Enjoy! I am: http://kingdomecon.wordpress.com.
America’s trade balance has been mostly negative since the closing of the gold window in 1971-73. Fiat money has been the core problem (since ’71) and America’s special status of enjoying the Reserve Currency position has allowed our leaders to mostly ignore our continual trade deficit. America has been able to borrow and spend with no serious accountability. We have ignored ‘Value for Value’ exchanges with other Nation State countries. America has been able to borrow to pay for its goods and mostly ignore the penalties of a continuing trade deficit. This has now reached a CRISIS situation. Take a look at our trade deficit via the following chart. Why is this now a serious matter? Why are Russia, Brazil, China, India, South Africa desiring a change! These Nations now desire a New Reserve Currency for all trades!
Why the continual RED ink since the closing of the Gold Window in 1971-73? Why do our foreign traders now desire a new Reserve Currency for our planet? Can America live off the entire planet with NO trade consequences? Look at this chart! It’s very serious!
Notice the recent numbers! We are asking foreign Nations to subsidize our consumption habits! Is this even moral? Why has this advantage become a serious scandal and a moral hazard going forward?
What we need to recognize is that Sound Money was essential for International Trade to flourish. When America purchases steel from Germany, lumber from Sweden, furniture from Denmark, and sugar from Brazil we are obliged to provide our counterparties with an equal ‘value’ in exchange. This is fair and moral. If we ‘counterfeit’ money and pay our counterparties this is a form of stealing. Most view this as morally unjustified. Yet America has been ‘counterfeiting’ their money units for some time and using these units as real proxies for the goods which we have purchased. Many argue…’so what’! Foreigners can use our ‘counterfeit’ dollar to purchase goods from us. But is this a fair exchange between equals in a marketplace? Isn’t fairness important? Should America be allowed to create its currency ‘Out of Nothing’?
America purchases goods from China and exchanges computer digits. But are these computer digits (what we now call Cyber Dollars) a ‘Value for Value’ exchange? How are these Cyber Units created? What are they (in reality)? Do they represent a real ‘Store of Value’ for China? Are they derived from a Natural Resource?
Look again at our continuing trade deficits with our foreign counterparties. Can these foreign counterparites ‘counterfeit’ their currencies, borrow from their Central Bank continually, and then purchase our goods with their ‘funny money’ creations? This has not been allowed by America…who patrols all the primary sea lanes, shipping routes, and all international monetary/trade/banking policies. Currently, America has been ‘counterfeiting’ their dollar in the $trillions since 2008 (we call it QE). And this QE ‘dollar’ is no longer a physical entity (such as our prior ‘paper’ dollar). Are you aware of this? America is now promoting a ‘cyberspace’ dollar which we create ‘Out of Nothing’ (also called ‘thin air’) and ‘type’ into our cyberspace computer screen. We then direct this Cyber Dollar to select TBTF financial entities for further ‘value’ distortions. Why is this happening and can this charade and Ponzi scheme continue indefinitely?
Money used to be a printed note. Today, we create our currency ($$$) from the computer!
Is the above mindset one which promotes justice, fairness, and ‘value for value’ exchanges among our foreign counterparties? Predicting the imminent collapse of the U.S. dollar, a Russian lawmaker submitted a bill to his country’s parliament Wednesday that would ban the use or possession of the American currency. Mikhail Degtyarev, the lawmaker who proposed the bill, compared the dollar to a Ponzi scheme. He warned that the government would have to bail out Russians holding the U.S. currency if it collapses. This statement was on November 13, 2013.
Mikhail Degtyarev says the American dollar is a Ponzi Scheme (as it is created arbitrarily out of ‘thin air’)!
What we now need to recognize is that our Cyber Dollar can not work morally for our INTERNATIONAL TRADE. Yes, this ‘dollar’ can work within our own Nation (as we witness with Apple Pay/Credit Cards/etc.) as long as American citizens have FAITH in this money from heaven. But FAITH and trust for our International counterparties needs to be based on moral principles (value for value exchanges and wealth for wealth transactions). This is not presently occurring and America is the culprit. All the QE polices started by Ben Shalom Bernanke set the tone for this immoral monetary system which we now experience. Who is becoming AWARE of this International Ponzi Scheme? Who understands MONEY?
Since abandoning the Gold Dollar (in 1971-73), America has consumed much more than it has produced! Fiat money and the World’s Reserve Currency gave America this opportunity. It is now a ‘moral hazard’ as many of our counterparties refuse to accept this situation as fair and just!
The BRICS are now starting their own BANK as they reject the IMF and the American policies emanating from this World War II institution. Must America change their mindset going forward? What do you think?
The BRICS nations are all becoming AWARE. Brazil, Russia, India, China, and South Africa have started their own International Monetary Fund. The Bretton Woods institution which we call the International Monetary Fund (IMF) is not liked by many of our foreign counterparties (especially those in Asia, Latin America, and Africa). If America wants to continue trading internationally we will need to ‘clean up’ our money system and our trading system. What we have today is morally corrupt and few seem to desire a real change (it seems)! We need to start with SOUND MONEY and/or NO MONEY going forward. Sound money is silver and gold! No money is a new world order where all economic power is given back to the Creator. Are you ready for some serious CHANGE? I am: http://kingdomecon.wordpress.com.
Some 500 banks have signed on to the new Apple Pay technology. This technology allows payments to be made electronically and without any human contact. All I need to do is ‘wave’ my iPhone over a ‘reader’ and my payments are completed (via speed of light frequencies) over our interconnected global internet. Automatically my payments are deducted from my cyber account at my bank (now a computer operation). In fact, all banking and finance is now mostly electronic and completed via speed of light frequencies. Where is this leading for our global economic community? What is ‘money’ today now that ‘numbers’ within our computer screens have become units for all financial transactions? Is the biblical ‘mark of the beast’ here? Will cyber transactions control all money creation and payments systems? Will foreign trade now be accomplished via these ‘imaginary’ cyber currencies? What do you think?
Apple Pay is a new technology which appears to be the new payments system going forward. Is this a viable payments system? Does this technology now allow our Centralized Banking System to use a similar technology for their money creation operations? What do you think?
Apple Pay is so popular that 500 commercial banks have signed on to this payments system! Some 220,000 retailers have signed on!
We now have the technology to both ‘create’ our cyber currencies (dollar, euro, etc.) via computer keys (and/or speaking) and make our payments via a ‘wave’ of the mobile devise (say our iPhone). What a new World has emerged in just the past few years. Technology is changing all of economics and finance. But will this technology actually solve the functions which money is supposed to serve? Can an imaginary cyber unit (created from the consciousness of Central Bankers) work for international trade and commerce? Making cyber payments via speed of light frequencies within a Nation State is only part of the role which money must play. The real role of any money unit is as a proxy for wealth production (new value). Will China, for example, want imaginary computer digits (our cyber dollar) for all their physical products (that which we now observe at Wal-Mart, etc.)?
Wal-Mart has not yet accepted Apple Pay but alternatives which operate in a similar manner will likely be accepted. Currently some 220,000 retail firms have accepted the concept of Apple Pay!
McDonald’s will soon accept Apple Pay! Retailers are waiting in line to join!
Will Nations like Russia, India, Brazil, Saudi Arabia, South Africa, Germany, etc. desire money units which Central Bankers can create OUT OF NOTHING via their inner ‘consciousness’? Can mere ‘numbers’ within cyberspace solve these many functions of money? Historically, money has served as a ‘standard’ of value, a ‘store’ of value, a ‘medium’ of exchange, and a ‘unit for accounting. Can money from NOTHING…’typed’ or ‘spoken’ into a computer screen serve all these important roles and functions? Capitalism has been based on physical money units (silver coins, gold coins, bullion bars, and paper notes). This has been the history of Capitalism. So will the greater global marketplace accept imaginary (cyber) currencies for their natural resources and their wealth production? Personally, I could not ‘trust’ money which is ‘imaginary’ and derived from select banksters (operating in secret board rooms). What do you think?
Can Cyber Money work for international trade? Do foreign Nations ‘trust’ these imaginary currencies? What do you think? Will our foreign competitors want these computer digits as representation of wealth?
Should Central Bankers be allowed to create cyber currencies from their thinking? Does this promote confidence and fairness for those who produce our physical wealth?
Banking is now becoming a computer screen activated by speed of light frequencies! Cyber money has arrived! Cyber money can be created by ‘typing’ (or speaking) numbers into a computer screen!
As of today, our Central Banksters rule and control all money creation on our planet. These select administrators can funnel their cyber units (dollars, euros, etc.) to whomever they choose. Those with the ‘units’ can purchase wealth (physical production) from the marketplace. Those without these units are victims of the Centralized Banking Cartel who controls the monetary operations. Is this the type of Capitalism (which will promote prosperity) for our future? Who should rule over all our natural resource production and wealth creation? Should the hard-working laborers be slaves of our centralized rulers? Should 1% or less rule over all global economics and finance? None of this seems logical or philosophically sound to me. What do you think? Give this concept of cyber money some serious thought! Are there better alternatives for our future? Enjoy the thought experiment! I am: http://kingdomecon.wordpress.com.
I just completed my fifth visit to the Silver Summit in Spokane, Washington. The event was somber and many investors admitted that they had lost up to 70% of their mining stock portfolio in the past year. The speakers at this conference were realists and revealed a strong desire for reality and truth in their presentations. Personally, I appreciated this realism within these speakers! The one perception (which I noticed, however) which was lacking within the psychology and philosophy of every speaker was a clear understanding of the concept which we call CYBERSPACE. None of the speakers seemed AWARE that our ‘dollar’ is now a CYBER currency. None seemed to be aware that ‘cyberspace’ is NOT the same as space/time reality. All seemed to think that our ‘dollar’ is a ‘printed’ entity! Why this lack of perception? Let’s review and think about this new concept called CYBERSPACE.
It is easy to get LOST in cyberspace! This space is really ‘inner’ and not the same as our Space/time reality!
One speaker who seemed quite confused on the nature of cyberspace was Mr. Jeff Berwick. Jeff is a strong backer of an alternative currency called Bitcoin. Jeff admitted that he likes Bitcoin because it is outside of government control and is a currency which is within his BRAIN (it can not be held in one’s hand/lost/or stolen by a thief). He felt that the ‘value’ of Bitcoin was an objective factor which made this virtual coin a strong alternative currency. His perception of ‘value’, however, seemed confused. The other speakers on this panel (David Morgan, Michael Berry, and Christopher Marchese) who also spoke about alternative currencies did not question Jeff’s logic and/or his philosophy about the nature of Bitcoin. All seemed confused on the ‘nature’ of Bitcoin and the ‘nature’ of cyberspace. Why this confusion and lack of understanding? Let’s explore!
Jeff Berwick seemed confused about the ‘nature’ of cyberspace and Bitcoin! He viewed Bitcoin as within his Brain! Is this a correct perception? Also, what is an Algorithm? Are these concepts objective?
My personal sense (after asking many questions) is that all these speakers at the Silver Summit view our ‘dollar’ as a ‘printed’ currency (within their personal ‘mind’) and not as a ‘cyber’ currency. The ‘words’ coming from their libs were that our ‘dollar’ is being ‘printed’ (excessively) yet this currency is real and within space/time reality. Questions coming from the attendee’s also seemed to reveal this same perception. I, personally, would challenge this perception of reality and this logic. In reality, ‘cyberspace’ is NOT within our space/time reality (i.e., out there) and we should actually view cyberspace as an ‘inner’ space (an extension of our inner ‘consciousness’). An alternative currency, like Bitcoin, is NOT within the same reality as our planet, moon, sun, or stars. Bitcoin (as our ‘dollar’ today) is now within a different reality (which we should call ‘virtual’ and/or ‘cyberspace’). Let’s define ‘cyberspace’ further!
Cyberspace can also be viewed as an ‘extension’ of one’s Consciousness!
Cyberspace: the electronic system of interlinked networks of computers, bulletin boards, etc. that is thought of as being a boundless environment providing access to information, interactive communication, and, in science fiction, a form of virtual reality. The ‘virtual’ space created by interconnected computers and computer networks on the Internet. Cyberspace is a ‘conceptual’ electronic space unbounded by distance or other physical limitations. William Gibson coined the term in his novel Neuromancer (1982) to describe an advanced ‘virtual’ reality network. Comprised of hundreds of thousands or more of connected computers, servers, routers, switches, and fiber optic cables. It permits critical infrastructures to work effectively and serves as the “nervous system” of the global economy and societal health and wellness. This definition helps somewhat but it is still confusing to many!
Cyberspace governs our Global Worldwide (interconnected) Internet! Our financial system is also now within Cyberspace! Our mathematical concepts (such as ‘algorithms) are cyber operations!
What I am writing and doing at this very moment is presenting my inner conceptions and thoughts (my words) within ‘cyberspace’ and/or ‘virtual’ reality space (my computer screen). These thoughts and words are derived from my inner ‘consciousness’. I then ‘type’ my words and thoughts, via the keys of my computer, into this ‘virtual’ environment called cyberspace. You are now reading (within your ‘consciousness’) these very words and thoughts. This, to me, is a better description of ‘cyberspace’! What Jeff seems confused about is the ‘nature’ of this virtual space which we call ‘cyberspace’. Cyberspace, to me, is not the same as our space/time reality (our planet, moon, sun, and stars). What I observe in our space/time reality is actually ‘out there’ and is independent from my ‘inner’ space which I call my ‘consciousness’. Also, my Brain should not be viewed as the SAME as my inner ‘consciousness’!
The ‘outer’ universe is different from our ‘cyber’ universe!
My Brain does not store a virtual coin such as Bitcoin. I would suggest that it is my Consciousness (mind) which stores this virtual image and the underlying ‘algorithm’ which operates this virtual image (from computer screen to computer screen) within our global internet. Jeff seemed to think that email and Bitcoin are part of my ‘outer’ space/time reality (objective). In reality, however, all our global currencies today are virtual images (within our computer screens) and we trade and distribute these ‘pixels’ of light (at the speed of light) via electromagnetic frequencies. All our currencies are now ‘subjective’ creations (units of information) derived from the MIND’S of our banksters and their finance proxies. They are ‘typed’ into cyberspace/virtual space. Try to ‘find/locate/hold/exchange’ this virtual entity (called Bitcoin/dollar/pound/euro/yen) outside of your computer screen! Where is it? What is it? Is it objective or subjective?
Is Bitcoin within my/or Jeff’s BRAIN? Personally, I don’t think so! Bitcoin is a ‘virtual’ image which derives from my Consciousness (also called my MIND)! Bitcoin is actually a ‘unit’ of INFORMATION!
My sense is that all the speakers at the Silver Summit (including most of the attendee’s) did not fully comprehend the ‘nature’ of today’s financial markets/currencies/investments/index concepts. My sense is that they viewed cyberspace (email and Bitcoin) as an objective space similar to our space/time reality (sun, moon, planet, and stars). This perception I would challenge as a deception of logic and experience! Those who read this missive/blog can do their own thinking on this issue. What is ‘cyberspace’ in reality? Where is ‘cyberspace’ in reality? Is it the same as our ‘outer’ space (atoms, electrons, and sub-atomic particles)? Personally, I don’t think so! The ‘nature’ of cyberspace is mostly ‘inner’ and based on our ‘inner’ information (words, thoughts, ideas). If we desire to understand today’s CYBER MARKET, we need to re-think the ‘nature’ of our money/currency/index conception. In reality, I would suggest that numbers are ‘subjective’ and all of finance is now mostly within our CONSCIOUSNESS! Give this logic some thought on your own! Enjoy! I am: http://kingdomecon.wordpress.com.
The twelfth Silver Summit conference was held in Spokane, Washington at the Davenport Hotel, October 23 and 24, 2014. Attendance was about 50% of last year (some 200 investors attended). The quality of the event, however, was the best ever (this was my fifth time attending). Speakers accepted many questions from the attendee’s and this made the event special. Hopefully, many of the speakers learned the inner thinking of the attendee’s (as many new ideas were offered by those asking the questions). Personally, I discovered that each speaker revealed some uncertainty…as a result of attendee questions. One speaker suggested that this 2014 event will be the last Silver Summit (as the markets will crash prior to next year). Following is a summary of some of the views presented at this conference:
1. Bo Polny, www.Gold2020Forecast.com: The silver/gold spike will be breathtaking. This spike will occur within the next six months (or less) with silver at over $48 and gold at $1900. By 2020, silver will be at near $300 and gold at $5000. This prediction is based on historical Cycles. The head and shoulders chart (now forming for the DOW) indicates a huge crash within the next year or sooner. Check out Bo’s website for additional details. Life is full of cycles that do nothing more than replay themselves at different price points. says: Bo Polny. Many well known pundits follow the cycle theory which Bo is presenting. I found his views creditable!
2. Bob Moriarty, http://www.321gold.com: Buy cheap and sell dear. All markets are corrupt and manipulated. Bob says cyber money will eventually go to cyber heaven. He also views gold as money (not silver). He sees more inflation ahead although deflation is at war with inflation at present. Bob still thinks that the Fed is ‘printing’ money (he seems unaware of our cyberspace currencies).
3. Jeffrey Christian, CPM group: Silver will increase in price to $20 – $26 within next year. Jeff’s overview of the silver market and its history was excellent. Jeff thinks that the physical market (gold/silver) sets the real ‘price’ of these metals. I don’t think many agreed with this view. Jeff did say that some 98% of futures trading is now electronic. This seems rather contradictory. Jeff views our economic growth as being sup-par with more deflation coming. Dollar will not collapse!
4. David Madge, A-Mark Precious Metals: Silver demand is currently greater than supply. Our internet has increased demand and this will continue indefinitely. The American Eagle silver coin is in most demand and then the Canadian Maple Leaf. The greatest current demand is for the one ounce silver coin. Royal Canadian Mint is now on ‘allocation’ (demand creates this situation).
5. Michael Berry, http://www.discoveryinvesting.com: Deflation is now more powerful than inflation. This trend of dis-inflation leading to real Deflation will continue for the next two years. Email him at: email@example.com for a copy of his presentation. Michael speaks on a regular basis to our Federal Reserve Banking System. He says the Fed does not know what they are doing. Today, they desire understanding on the effects of higher interest rates. Michael likes silver and gold for the immediate future. He also claims that our silver/gold markets are being ‘manipulated’. The ‘motive’, the ‘means’, and the ‘method’ seems to be present.
6. David Morgan, http://www.silver-investor.com: A big move to silver is now coming! 2014 is the stealth phase, 2015 is the awareness phase, 2020 is the mania phase, and 2024 is the blow-off phase. Silver is money! The derivatives market to blow-up soon. How should one sell their silver? Morgan says ‘spend’ it as you desire. The best investment is ‘in oneself’! David says silver/gold are not the real issue. Honesty and integrity are more important.
7. Gordon Pederson, medical doctor, http://www.silverhealthinstitute.com: The Ebola virus is an RNA virus. The virus destroys a healthy cell leading to eventual death. 70% die from this RNA virus. This Ebola virus can exist in the air, water, and within semen. Our economy can be destroyed via this virus if it spreads rapidly. Gordon recommends silver compounds for prevention and better protection from this virus. Check out the above website.
My comments: All the speakers were aware that our markets could crash and burn within the next 12 months. Some expected this crash prior to the end of 2014. Most viewed silver and gold as sound investments and many expect a huge upward ‘spike’ in the price of these metals soon. Most thought that we have seen the bottom in both silver and gold. Bob Moriarty claims that he predicted the low in gold on his 321gold website. David Morgan views silver as at a bottom with a huge upward spike in the near future. Jeff Berwick spoke without notes and no formal presentation. He viewed the summit attendee’s as somber (similar to a funeral event). He claims that Fema camps await many soon and he also said that there will be NO silver summit in 2015. Government is our problem according to Jeff. He advises to get ‘out’ of USA pronto and store your wealth ‘out’ of USA. He claims that his model on life and philosophy is derived from his mentor, Doug Casey. Jeff says Bitcoin is for real and he desires this alternative currency after the coming crash. He sees a non-violent revolution and a new system after the crash event is over.
Personally, I really enjoyed this Silver Summit and the small group which attended. I was able to ask many questions and I did learn some new ideas from this event. I now am convinced that we will have a major stock market crash coming soon. The bubbles must be ‘pricked’ and this will occur prior to the end of 2014 or early in 2015. I am also convinced that purchasing some physical silver is a wise move. Our ‘cyber’ currencies are very unstable and our electronic markets are impossible to monitor and control after the bubbles burst. Difficult days are ahead for those who are unprepared. For those who are well-informed and prepared, these days will be bearable. Watch the markets for the coming stock market crash. Prepare! I am: http://kingdomecon.wordpress.com.
The manipulation of our silver price has been so dramatic that I now sense that the supply of silver will diminish rapidly in the next 12 months. The wise are recognizing that our volatile stock and bond markets could crash big time within the next 12 months. I like the risk/reward potential (of buying silver) now that silver is under $18 and some $3 below the cost of production. My plan is to buy silver coins for the next 12 months and accumulate a physical ‘store of value’ for the dark days which are emerging. Our precious metals markets have been slammed down by our elite authorities (using algorithms and naked shorts) to deceive the greater market participants so that they continue to accumulate our imaginary cyber currencies (dollar, pound, euro, yen, etc.). The wise, however, are beginning to discern what is happening and eventually the masses (our global traders) will desire silver and gold in physical form (in lieu of imaginary cyber money).
My favorite one ounce silver coin is the American eagle with lady liberty on the front. The current price is less than $20. What a buy for this historical coin with .999 pure silver as its substance!
I, personally, like one ounce silver coins (the American Eagle, Canadian Maple Leaf, and select coins from Cornerstone Asset Metals, and similar providers). I like JM Bullion, Dallas, Texas, as a seller, (http://www.jmbullion.com/) as their prices are most competitive with no shipping costs. JM Bullion will also be present at the coming Silver Summit on October 23-24, 2014 (Spokane, WA.) which I will be attending. The history of money and currency demonstrates that the ‘foundation’ of our monetary system consists of the physical metals (silver/gold). Our elite authorities have abandoned these metals and they are attempting to create a world of imaginary cyber currencies for the deceived masses. This attempt will not work as each cyber currency is ‘valueless’ (and metaphysical). Metaphysical currencies can not work as viable ‘stores of value’. Who understands monetary history?
Our paper dollar is now obsolete as our cyber dollar has been adopted by our elite Authorities! This cyber unit is ‘typed’ into the computer screen. It has no ‘substance’ and no existence with our Space/time reality!
Also, a growing percentage of investors are becoming aware that our elite authorities do not understand what they are doing. The confusion and hypocrisy within our establishment institutions is ‘mind’ boggling. In today’s WSJ (Wall Street Journal) I read about one elite authority by the name of William Dudley, CEO of the New York Federal Reserve Bank. This elite administrator now desires to create a Centralized Data Base so that all institutional traders can be monitored…so that those who get fired for inappropriate behavior will be followed from vocation to vocation. This is the mindset of our Centralized Fed and their Centralized control system. Our individual freedoms are being eliminated so that the Centralized elites can maintain CONTROL over the marketplace and all the participants. Is this America? Is this Capitalism? Is this representative of a Free Market Economy? Where is this type of thinking leading? Personally, I can not support this type of ‘mindset’!
This unelected elite policymaker (William C. Dudley) wants to create a Centralized Data Base of all institutional traders so that a trail of their employment can be monitored and traced! Is this a wise proposal?
Eventually, we will all need to re-think our entire economic model which is being mandated upon the global population. This model of math, algorithms, cyberspace currencies, and centralized control, creates a system where the masses become ‘slaves’ of the elite. A few elite administrators get to administer and control the seven billion citizens on our planet. Is this a healthy trend? Who desires to be a ‘slave’ of computer machines, algorithms, and centralized dictators (operating secretly behind closed doors at select venues around our planet)? Those currently in power will not relinquish their control and power without a ‘fight’ to the death. We witness the power of guns and bombs today as our elite attempt to control the planet with their philosophy of MIGHT MAKES RIGHT! Some .05 per cent of the population governs the 99.95 %. This is possible now that we have an inter-connected global system of elite governing the planet!
Accounting numbers rule over all finance today! These metaphysical ‘numbers’ have no independent existence! Do you prefer to be ruled by algorithms and numbers as compared to historical money/currency? Not I!
Who governs over our economic survival? Are you aware that an elite of just 0.05% (of the total global population) governs the entire planet? Why is this so? What happened to individual freedom and personal responsibility? Can a global CONTROL system produce a growing and prosperous economy? What is the real purpose of economics and politics? Who has read and internalized the original philosophy of America (under Founders like Thomas Jefferson and Adam Smith)? Why is Capitalism now over? What is now emerging is a global Centralized system of the elite? Have you watched the G-20 gatherings? Have you noticed the growing influence of our global institutions (the IMF, WTO, WB, UN, ECB, FED, etc.)? Who are making the decisions today? Do these elite understand what they are doing and implementing? Personally, I don’t think these elite are leading us correctly!
Who should RULE over economics and the global System? Machines and the Elite or the People? Why not purchase a real physical ‘store of value’ for the coming transition period?
Until the current corrupt financial system collapses and is replaced, I will continue to purchase historical Constitutional money/currency. Silver and Gold are these historical monies. The next few years could be very difficult and volatile! My plan is to have a small accumulation of historical coins for this coming difficult period. Silver is my choice. Silver coins (one ounce variety) is my choice. The price of a coin is not the issue! The existence is the issue! Cyber currencies are ‘imaginary’ and can revert to ZERO! If our political elite desire to declare these cyber entities as no longer ‘legal tender’, than all assets (and collateral) denominated in these currencies can go to ZERO. Are you aware of this? Think about the ‘nature’ of these cyber currencies! That is my message for today! Enjoy! I am: http://kingdomecon.wordpress.com.